Subcommittee approves MOUs and up to $650,000 for employer‑developed registered apprenticeships

City staff asked the Economic Development and the Arts Subcommittee to recommend two actions on Nov. 12 to formalize and expand employer‑developed registered apprenticeship programs: (1) approve memoranda of understanding with education providers; and (2) authorize contracts with employers and entities to participate in employer‑developed registered apprenticeship programs, with funding to support those contracts up to an aggregate total not to exceed $650,000.

Deb Furlong and Lucetta Hogans described how the initiative began with federal momentum: the White House designation of Phoenix as a workforce hub in May 2023 and early grant funding. Furlong said the City of Phoenix workforce board identified demand for 67,000 skilled positions in advanced manufacturing and semiconductors and that TSMC was the first employer partner to help develop a registered semiconducting apprenticeship program in the state.

Officials outlined apprenticeship program designs and cohorts launched in 2024: an industrial maintenance/facilities technician program (12–18 months, ~2,000 on‑the‑job hours and ~150 related instruction hours), a manufacturing technician program (12–18 months), and a nanoengineering process technician program (two years, ~4,000 on‑the‑job hours and ~330 related instruction hours). Staff said initial cohorts were funded with the Arizona Quest grant (a National Dislocated Worker grant administered via the state) and by the Semi Foundation, and that department staffing for sponsorship is funded through workforce innovation and opportunity act (WIOA) staff within the Community & Economic Development department.

The subcommittee voted to recommend approval of MOUs with education providers and authorized employer contracts and funding (Item 5) for an aggregate amount not to exceed $650,000. Councilwoman Pastor recused herself from discussion of Item 4 for a possible conflict of interest; staff said the recusal was noted in the record. Presenters described plans to formalize MOUs with education partners, scale stackable apprenticeship pathways (including a planned stackable water/gas/mechanical/electrical pathway), and track apprentices’ progress through sponsor record keeping and compliance functions.

Staff said the purpose of the request is to move the apprenticeship model from temporary funding and informal agreements to a long‑term, city‑supported workforce solution with clearer agreements, MOU terms and funding commitments.

The subcommittee’s motions passed unanimously among members present.